Utopia is described by the following equations c80075y, Business Economics

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Utopia is described by the following equations c80075y

Utopia is described by the following equations: C=80+0.75Y I=115-10r T=20+0.2Y M=20+0.05Y G=200 X=100 Money supply=450 L=110+0.55Y-10r F= -60+2r B= F+X-M Calculate: (a) Equilibrium output level and the equilibrium interest rate plus the position on the BoP (b) What is the effect of increasing G by 310 and expanding money supply to 940.

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Business Economics: Utopia is described by the following equations c80075y

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Business Economics: Utopia is described by the following equations c80075y

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